When a vehicle has been involved in an incident, a claims adjuster typically inspects the vehicle in the field. The inspection, however, may not occur for several days after the accident has been reported to the insurance company.
If the adjuster determines that the cost to repair the vehicle comes close to or exceeds the cash value of the vehicle, the adjuster deems the vehicle a total loss. He then works with the vehicle owner to reach a settlement, and secures the required paper work so the insurance company will issue payment to the owner for the loss. This process is often time consuming and expensive. Furthermore, the length of time spent may decrease the customer's satisfaction with the level of service provided by the insurance company.
One reason for the length of time spent in this process is that the insurance company does not know the extent of damage to the vehicle until an adjuster can inspect the vehicle, and the adjuster may be unable to do so immediately. Upon learning that a vehicle has been damaged or involved in an accident, the insurance company normally assigns the vehicle to a repair shop or to an adjuster that will inspect the vehicle at a location agreed to by the insured. The inspection may occur days or weeks after the vehicle is in the repair shop or storage lot. In addition, this conventional procedure may cause the insurance company to incur storage and other operation costs, such as the cost to transport the vehicle.